…covering everything which includes the word "data" or "information"
This blog post will explain the first two benefits of CDI; gaining competitive advantage and increasing customer experience.
Gaining competitive advantage
Traditionally CDI projects started off as small pilot projects at departmental level by building custom-built solutions. These then gained some exposure to other departments within the organisation which then led to an increase of appreciation of CDI. Eventually, this led to the department being given the clear to go for a bigger and better commercial product.
CDI projects should not be started unless there is a strong business case. It should come with measurable benefits and the ROI should be achievable within a reasonable amount of time. CDI projects require strong organisational commitment, involve high costs (software licence and implementation), take a long time, come with risks and have exposure at enterprise level. Hence it is important to have a solid business case for it which will give the organisation a competitive advantage.
One thing organisations can do is look at their largest customers and then group them based on relationships. Through this approach organisations can manage the customer lifetime value, make marketing campaigns for targeted and effective, increase customer service and reduce customer attrition.
Increasing customer experience
It is good for an organisation to have as many loyal customers as possible. In other words, people who have a strong relationship with the organisation who are not going to take their business to a competitor very quickly. By having a system which gives a full picture of customers would allow to achieve this by facilitating to offer a personalised service and good level of customer service.
If you have kind of investment funds you might be allocated an account manager. If you call up the company and request some information and the company has to e.g. get the information from different people while you are waiting on the phone or ask you to contact them the next day then this shows the company lacks an integrated system of customer information.
Similarly, a customer having several investment accounts may request a certain chargeable service. Most companies would be willing to waive the fee if they know the importance of the customer. However, if the organisation does not have a CDI system showing relationships of customer to accounts then it may not be able to see that the customer may have 5 different accounts all above a certain limit where the company can offer some “treats”.
These examples show how CDI can benefit organisations by offering increased customer experience and reducing customer attrition. The next blog post will be published in the next few days and will explain some further benefits CDI has to offer.
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The purpose of this blog is for the author to share his knowledge and experience in various Data Management domains with the aim of helping readers to learn/expand on their existing knowledge in the area. This blog shares knowledge on Master Data Management, Data Quality, Data Governance, Data Integration, Data Analysis, Data Profiling, Data Warehouses, Data Marts, Data Modeling, Data Architecture, Metadata Management etc.
I am Manjeet Singh Sawhney and work as a Principal Consultant - Data Architect for Wipro Consulting Services in London (UK). Prior to this, I have worked for Direct Line Group, Accenture, Tibco Software, Initiate Systems (now IBM) and Tata Consultancy Services. My areas of expertise are Master Data Management (Customer, Product, Reference), Metadata Management, Data Governance, Data Quality, Data Integration, Data Migration, Data Warehouses, Data Marts, Data Modeling, Data Architecture, Data Profiling and Data Analysis. I am using this blog to share my knowledge and experience in these areas and hope that you will find it useful.
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